review by Brian Charles Clark
The King, the Crook, and the Gambler: The True Story of the South Sea Bubble and the Greatest Financial Scandal in History
by Malcolm Balen
Publisher: Harper Perennial, 2004
Nearly 300 years ago, a group of financial speculators dreamed up a plan to make money from England’s national debt. In an age when someone making £100 a year was considered wealthy, the national debt was huge: about £9 million. The idea behind the South Sea Company was that British merchants would trade English goods in South America, then controlled by Spain and Portugal. The problem was that Spain and Portugal wouldn’t allow any such thing to happen: they had a strictly controlled monopoly. What actually happened was that John Blunt, the director of the South Sea Company, ended up convincing the British government to sell its debt to the public through the Company in the form of shares. From the profits of the share sales, the Company would then repay the debt. Moreover, “in the persuasive but intrinsically nonsensical analysis” put forward by the South Sea Company, “as surely as night follows day, the bigger the debt, the greater the profit.” Read the rest of this entry »
Gaudeamus means “rejoice,” as in, Rejoice! The aliens are here! (At last!) But, like everything in this comic thriller of a science fiction parody, “gaudeamus” has a double (at least) meaning: “gaudeamus” sound suspiciously like “God damn us!” That second, undercover meaning is never directly referred to, but what else are we supposed to say when, every time someone invents the Gaudeamus technology, aliens show up and buy the entire planet Earth?


